(1) To implement economic policies for ensuring the stability of living and employment

1. The Public Finance Structural Reform Bill should be frozen until the achievement of economic recovery and 6 trillion-yen tax cut should be implemented. Proposed tax cut includes 4 trillion yen cut in income tax, including 3 trillion-yen institutionalised reduction. Remaining cut of 2 trillion yen should consist of policy-induced cut in the area of education and housing and corporation tax cut aiming not only at reducing tariff but also at establishing a suitable taxation base taking into account the promotion of financial structural reform.

2. As regards the use of public funds for stabilising the financial system, Rengo will continue demanding full implementation of information transparency; clarification of responsibility and enhancement of the institution of collecting credits. Rengo will monitor whether the procedure of using the funds is fair and transparent.

3. In order to prevent a lending squeeze by banks:
   • The loaning condition of governmental financial institutions should be deregulated as an emergency countermeasures;
   • The scope of guarantee by the Credit Security Association should be extended to embrace medium enterprises;
   • The scope of Small and Medium Enterprises Credit Security Law should be extended;
   • Loaning to medium and small enterprises should be expanded by extending the loan by Japan Development Bank to operating fund;
   • Employment Adjustment Allowance should be granted to all enterprises employing new employee regardless their ages;
   • Special countermeasures should be set up for a region, like Hokkaido, with serious unemployment problems.

4. The long-term plan of public works should be reviewed in order to improve social capital related to the living of the people such as sewage system and parks. The quantity of public works should remain by reducing the cost of each individual work.

5. In the view of facilitating the transaction of estates, a new system of Specific Purpose Company (SPC) to transform estates into securities should be established, such as lowering capital requirement and simplifying the auction procedure.

2. To ensure natural increase in social security cost

1. Amendments to National Health Insurance Law and the Public Health for the Aged Law, which will lead to the increase in medical treatment fees by 1.5%, should be suspended.

2. The reduction of 75 billion yen in administrative cost of public fund management should not be made and the cost should continue to be born by the State.

3. Rengo would not accept a proposal that wage limits for a family allowance be lowered from 4 million 78 hundred yen to 3 million yen.

3. To establish fair labour standards

1. Rengo should make its best efforts to realise its following counterproposals against the government's bill of Labour Standards Las revision:
   • The limit of over-time and holiday working hours should be specified in the text of the Law and the working hours limit for night work should be newly established.
   • A clause introducing a new type of discretion work should be removed for further examination.
   • Yearly based irregular working time arrangement should be introduced only on condition that weekly scheduled working hours is less than 40 hours

2. As regards the Employment Agency Law, the scope of job categories subject to the Law should be limited as present and the ILO Convention No. 181 should be ratified as soon as possible.

3. Employment Insurance Law should be revised so that it is applied to part-time and dispatched workers.

4. Part-time Workers Law should be revised based on the Cabinet's proposals in order to secure rights of such workers and to improve their working conditions.